The article analyses the possibility of initiating and functioning of market and competition’s mechanisms in a nationalized economy and in a market economy (in which private enterprises dominate).The analysis showed that the market mechanism cannot function in a nationalized economy, whereas the competition mechanism assumes a special, deformed form. The both mechanisms can effectively function only in private market economy. In the last part of the article, the problem of semi-privatisation as a result of choice of different privatisation methods was raised. In this part of the article, the analysis of semi-privatisation impact on functioning of market mechanism and competition mechanism on different types of partial markets was also presented.
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